1484-B Registry No. C1O-1-01

NATIONAL RECOVERY ADMINISTRATION

CODE OF FAIR COMPETITION

FOR THE

FERTILIZER INDUSTRY

AS APPROVED ON OCTOBER 31, 1933

BY

PRESIDENT ROOSEVELT

MEBR

WE DO OUR PART

1. Executive Order

2. Letter of Transmittal

~3. Cbde

UNITED STATES

GOVERNMENT PRINTING OFFICE

WASHINGTON: 1933

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(II)
EXECUTIVE ORDER

CODE OF FAIR COMPETITION FOR T1lE FERTILIZER INDUSTRY

An application having been duly made, pursuant to and in full

compliance with the provisions of title I of the National Industrial

Recovery Act, approved June 16, 1933, for my approval of a Code

of Fair Competition for the Fertilizer Industry, and hearings having

been held thereon and the Administrator having rendered his report

containing an analysis of the said code of fair competition together

with his recommendations and findings with respect thereto, and

the Administrator having found that the said code of fair comipetition complies in all respects with the pertinent provisions of title I

of said act and that the requirements of clauses (1) and (2) of subsection (a) of section 3 of the said act have been met:

NOW, THEREFORE, I, Franklin 1). Roosevelt. President of the

United States. pursuant to the authority vested in me by title I

of the National Industry Recovery Act, approved June 16, 1933, and otherwise, do adopt and approve the report, recommendations,

and findings of the Administrator and do order that the said code

of fair competition be, and is hereby, approved.

FRANKLIN D. ROOSEVELT.

THE WHITE HOUSE,

o(et'bcu -)V, 1,933.

Approval recommended:

HUGH S. JOHNSON,

Administrator.

(III)

18376*0--18S-1--33
OCTOBER 25, 1933.

The PRESIDENT,

Th" Wil e H ov, IWahington, D.f.

SIR: This is a report of the hearing oil the Code of Fair Competition for the Fertilizer Industry conducted in Washington on the

th of September 1$).3 in accordance with the provisions of the

National Industrial Recovery Act.

PROVIsIoNS OF TiiIS CoDE As To HoURS AND WAGES

ARTICLE IV

SECTION 2. Maximum Ho11 s of La>ol.-a. No employee in the

fertilizer industry shall be required or permitted to work more than

40 hours in any one week or eight hours in any one (lay except as

follows:

1. Foremen, superintendents, managers, salesmen, chemists. and

officials.

2. During the rush of the planting season the hours of labor may

exceed the maximunin above prescribed by eight hours a week, and in

the case of skilled key men the hours of labor may exceed the maximum above prescribel by 20 hours in any week, but in no event shall

employees be perimitted to work more than an average of 40 hours a

week over any consecutive four-months' period.

3. Ofhce employees shall not be required or permitted to work

more than an average of 40 hours a week in any four months' period.

4. Employees engaged in any cont miuols operation when other

competent employees are readily available for such work shall not

be required or permitted to work mtre thau 40 hours in any one

week, and in nAo case nmwre thai 48 hours in any one week.

d. Repair shop crws, eng1iIneers, electricialls, am I watching crews

shall not he required or permitted to work more than 40 hours in

11nV O1 u week, With I a tilenmeY of 10 percent, except il the case of

(I iIc ge ncy.

h). OVrtimi shall be pald at the r]ite of one and one third times

the imnrial rttc fir all work in the excess of eight hours a day. except

il the e f (dlice emplo('1i yees.

(. E vey (iicmploVe(' ill the fertilizer indilstry shall he entitled to

011ie day of eA a week.

CT-I(,N ). il ///e/ P/ of l//.-a. R No empl<y*vee in the fertilizer iniduiitrv shall be paid less thlnii the fohlowin: 35 cents an

hObr ini the Northerii nrei, 2 ,5 cents i hour ill the Southern area,

'5 cents all hour iII the Alidwesterti :ire'm, 40 cents al hour in the

Pawific CoiA area. and 20 cents anI hoir iM Purto Rico.

1). The \(wtll are-a cmniiises Mjain, Novw 1impshire, Vcr mt,

assachuetts, (Coniecticut, hhmode Islaid, New Yoik, Penmsylvaiiia,

:N'ew er 'iev, Marl.d:iii (except the Easterii S'Hoic ) , Newcastle

City of l)elaware, District of C4uliimbia, and West Virginia.

(IV)
V

c. The Southern area comprises Kent and Sussex Counties of

Delaware, the Eastern Shore of Marvland, Virginli, North Carolina,

South Carolina, Georgia. Florida, Alabama, Mississippi, Aikansas,

Louisiana, Oklahoma, Texas, aInd Tennessee.

d. The Midwestern area coiprises Ohio, Illinois, Indiana, Kentucky, Missouri, Kansas, Nebraska, South Dakota. N rth Dakota,

Colorado, New Mexico, Arizona. Wyoiing, Montana, Michigan,

Wisconsin Minnesota and Iowa.

e. The Pacific Coast area comlprises Washington, Oregon, California, Idaho, Nevada, and Utah.

ECONOMIC EFFECT OF THE CODE

The Fertilizer Industry, as covered by the attichedI Code, is an

industry whose activity is intimately connected with the hicoie and

purchasing power of the farmer. Since 1929 gross ag-ricultural income has declined from $10,000.000,000 to a little over 4,000,000,000,

and has been accompanied by a (decline in annual fertilizer consimnption from 8,000,000 tons to 4.000,{0) tons.

Basically, this Code covers the mixers of fertilizer, soie 600 in

number, operating approximately 800 plants. Nearly three fourths

of these plants are located in the one-crop sections of the Soutih and

Southeast producing fertilizer to be used in connection with the

cotton and tobacco crops. InI ad(dition to the mixed fertilizer produced by these plants, certain unmixed substances, such as potash, nitrogen carriers and so forth, which may be used directly on the

soil, are in competition with mixed fertilizer. A large proportion of

such material is handled by the fertilizer nmixingY concerns, but some

portion is marketed direct to dealers and coisumners by the producers

of such materials. and even by their importers. Imp ( stations of

nitrate carriers, such as Chilean nitrate of soda, potash from Germany and superphosphate from Japan, have a serious effect on this

industry and, to a certain extent, have contributed to the denioralization of the industry. For this reason the Code contains a great

number of unfair trade practices whieh are to be prohibited, and

covers not only the mixing of fertilizer and its immediate sale,

but also covers (as far as sales to dealers and consumers are concerned) the distribution of the competing products.

It is believed that, for the ultimate good of the farmer, the control prescribed and permitted in this Code is essential. In view of

these conditions, however, it is highly important that the Government representation on the operation of this Code exercise carefully

its functions.

The fertilizer industry is one with extremely seasonal operation.

Thirty-five percent of the annual production of this industry is

moved in one month and 85% of it is moved in approximately

three months of each year. This period is a period of farm activity.

The product is bulky and the plants, as a whole. are located near the

consumer-that is, in agricultural areas. The percentage of common

labor reaches to more than 70% of the total labor employed and

is of the farm labor type. It seems important, therefore, that scales

of wages be not set up so high as to disrupt the agricultural situation

in the vicinity of fertilizer factories.
VI

The hiuhe-t recorded employment in the fertilizer industry was

reached in March 1929. when nearly 3$,J000 workers were employed.

T1e average or more normal figure of 1 92S was '3.000 employees.

This had decreased in 19:32 to only 21,000 employees. The above

figures, of course, apply to the peak season, during which the

greatest portion of fertilizer is beiig mixed and delivered.

The reduction in hours in this Code to an average of 40 for a

f11r iI)iv' period, vit h mvrtime for all work in excess of eight

hours per day, should increase the number of employees in the peak

5< as(u to about 27,.500 workers at the same scale of purchasing by

agriculture a, nmv exists. It is to be presumed. however, that Letterment in prices of the products of agriculture will permit the pircha-e of increased (juantities of fertilizer.

Tlie wage,- established in this Code are such as to increase nearly

1001; of the employees in the Southern area, anl 9 0 of the employ-e, in the Northern and Western areas. It will increase the

w agS of nearly 75; of the employees in the Pacific Coast area.

The averag-e wage in the Southern area in 19'23 was 13.7 Cents per

hour, whereas the Code provides a minimum wade of 25 cents per

hour. The average wage for the spring of 123 in the Northern

Area was 2G.5 cents per hour, while the Code provides 35 cents per

hour. It will be seen, therefore, that not only will this Code increase eimplovment materially, but will raise very greatly the rate

of pay throughout the entire United States.

While the absolute wage rates provided by the Code still are not

hi h, it is believed that this industry with its close interlock with

agriculture can be affected only adversely if higher minimum wages

are required.

FINDINGS

The Adninistrator finds that (a) The Code as recommended complies in all respects with the pertinent provisions of Title I of the

Act, ichitdinig. without limitation. su)sectioni (a) of Section 7 and

subsectiol (b) of Section 10 thereof; and that

(b) The applicant group imposes no inequitable restrictions on

admision to membership therein and is truly representative of the

Fertilizer In lustry; and that

(C) The (ode as recommended i s not designed to promote nionopolies or to eliminate or oppress small enterprises and will not operate

to discriminate against them, and will tend to effectuate the policy

of Title I of the National Industrial Recovery Act.

It is recommended, therefore., that this Code be immediately

adopted.

Respectfully,

huAmn S. JoHNSON.

Adnministrator.
CODE OF FAIR COMPETITION FOR THE FERTILIZER

INDUSTRY

The following provisions shall constitute the Code of Fair Competition for the fertilizer industry under the National Industrial

Recovery Act:

ARTICLE I-PUPoSE

It is the purpose of this Code to aid in eliminating from the fertilizer industry destructive and unfair methods of competition,

waste, and improper practices, to place the industry upon a sounder

basis and better enable it to serve labor and agriculture by bringing

about higher wages, shorter working hours, better living conditions

for employees fair prices, and high-quality products for the farmer,

and reasonable profit to the producers of fertilizer and to the

industry generally.

ARTICLE II-DEFINITIoNS

SECTIoN 1. a. The term " fertilizer industry " as used herein includes the importation, production, and/or distribution of mixed

fertilizer, superphosphate, and/or other fertilizer materials. This

Code does not cover sulphuric acid, nor does it cover dealers.

This Code does not cover the production of potash, phosphate rock,

and/or nitrogen carriers, nor does it cover their distribution to

producers and to persons other than dealers or consumers. This

Code does cover the sale and distribution of potash, phosphate rock,

and/or nitrogen carriers to dealers and/or consumers, whether made

directly or through agents: Provided, however, that such sale and

distribution by producers of such materials shall be exempted from.

the provisions of Article V, Production and New Capacity; Article

VI, Price Provisions, Section 1, Sales Below Cost Prohibited; and

Sections 1, 2, 4, 5, and 6 of Article VII, Marketing Provisions,

and shall also be exempted from the requirements of Article IX,

Reports and Statistics, to the extent that producers of such materials shall not be required thereunder to sublmit any reports or

info-rmation concerning their costs of produiction, wages, hours of

labor, other conditions of labor, or prices to others than dealers or

consumers.

b. In the event that any producer or importer of potash, phosphate rock, or nitrogen carriers makes no sale of mixed fertilizer,

superphosphate, or other fertilizer material to dealers and or consumers, none of the provisions of this Code shall apply to such producer or importer. Provided, further, that if and when the producers and/or importers of potash shall have filed a Code of Fair

Competition covering the sale and distribution of potash to dealerS

and/or consumers, which Code shall contain provisions the same as

(1)
2

Article VL Section 2. Open-Price Schedules: Article VIL Section

3, Distril tio Throi)lh Cooperative Assoeiations. Section . Meth-

<Ois of (_l'votin4 Prices. Methods of Distribution, and MIethods of Delivery. stecti(n ,, x. ein tlons from _Marlheting Proviin , and all

SevID iis of Article VII!. Unfair Practice, Prohibited, in the form

as approved by the President herein, and such Coe with such provisions shall have been approved by the Presi(ient and become effective. -mih sale and ditrilbution of pota-h Shall 1Ie exempteti ontirely from this Code. Similarly, if and when the producers and'or

importers of phosphate rock and,or nitrogen carriers shall have

filed a 0(ode of F"ir1. Competition coverin&c the sale and distribution

of pido plate rock and or niitrocell carriers to dealers and or consuILers, which Code shall contain the proviz'ions just recited, and

sulih Code with such provisions shall have been approved by the

President and become effective, ',uch Sale and distribution of phosphate rock and or nitrogen carriers shall be exempted entirely from

this Code.

EC. 2. The tern " employee " as uied herein includes any person

enua_ed in any phase of the industry in any capacity in the nature

of employee. i-Irespective of the method of payment of his comnpensation.

SEC. :. The term - enployer " as used herein includes anyone

for whose benefit -uchi an employee is so enLaged.

E(. -1-. he term - mixed fertilizer " means any combination or

mixture of fertilizer materials, designed and fit for use in inducing

increased crop yields or plant growth when applied to the soil.

SEC. 5. The term " fertilizer material " means any substance which

is used with another substance in the manufacture of mixed fertilizers. or for direct application to the soil. principally as a source of

plant food. except unmnanipulate1 manures of domestic origin. SEC. G. The telin " -uperphiosphate " means the product resulting

front mixingl ri k phlo>phate and sulphuric acid and/or phosphoric

a ci d.

SEC. 7. The term crade " as applied to mixetl fertilizer. Shall

represelit thc miininmuiu guarantee of it- plant food exi n'es-ed in ternis

Ofit rlveln ay:ilable pho phoric acid. ,-,nJ water solible potash, and

sil titr suhIuiiccl as may be guaranteed.

c. s Plie teri " dealer " leans anv person, other than a produ(i c, cnga led in the liusi ness of buying inmxe' fertilizer. superplho plte. and (r other fertilizer material for the purpose of selling

at a profit. ()nIe buying for his owin m i-e, or prilicipally for his own

u-0 and that of his tenants, shall not he (eemed to be a dealer. A

CITIp of [ITnintCOrjor-lted conSUImer iIbIiylrs actiH0* cIilectively or

tlltrlogh an individual for the purpose of contracting for a joint order

i1 Inot a dealer.

Si-a'. 'P. ll terml7 " 1i(,olt ii eains aiNI person engza ged in the businO f dti-tribing mixed fertilizer. superphosphate, and or other

fertilizr lmatoriaIs for a fixeti coiipei isation as prvidod in the prodlwieKr pri ' Iit, and wht guarantee the whole and cimlplete

jc~ihr'imutte<'( tle toriiis of his ciitract wNith the producer.

SEc. lt. 'I'e tc tm - Fort ilizer Rec'verY C G ii littee * 11 wais the

Cominittee crl'ated in accordance with Article III of this Code.
3

SEC. 11. The term " zone " means a geographical divisio

United States established under Article III of this Code.

SEC. 12. The term "producer " means any member of the 

engaged in the business of preparing~w, mixing, manufactu

importing mixed fertilizer, superphosphate, and/or other 

material for sale.

ARTICLE III--ADM INISTRATION

SEcTIoN 1. To effectuate ftirther the policies of the Act, 

lizer Recovery Committee is hereby designated to cooperate 

Administrator as a Planning and Fair Practice Agecy 

fertilizer industry. This Committee, constituting the Code 

ity, shall consist of not less than twelve representatives 

fertilizer industry selected by a fair method of selection t

proved by the Administrator. Three members without vot

appointed by the President of the United States.

SEC. 2. The Code Authority is hereby empowered to coll

the industry such statistical information as, in the opinio

Administrator, may be necessary to effectuate Title I of 

tional Industrial Recovery Act and this Code. In add

such information there shall be furnished to the Federa

Commission, for the use of the President of the United Sta

information as the Federal Trade Commission or the Presid

deem necessary for the purposes recited in Section 3 (a

National Industrial Recovery Act. Such information may 

wages, hours of labor, prices, production, stocks, orders, sh

production capacity, and costs. Any or all information f

to the Federal Trade Commission by any member of the 

shall be subject to checking by said Commission for the pu

verification by an examination of the books and accou

records of such member.

SEC. 3. In carrying out its functions, said Committee, s

the approval of the Administrator, is authorized to divide th

States into appropriate trade zones based on such geog

trade, and/or other conditions as shall best serve the purpose

Code, and to change such zones from time to time as may 

necessary.

SEC. 4. The Code Authority may delegate or appoint in

and subcommittees in carrying out its administrative wo

such of its power or powers as may from time to time be c

by the Code Authority upon said individuals or subcommi

sponsibility, however, to remain with the Code Authority. SEC. 5. The Code Authority shall appoint, from its own 

ship, an Administrative Committee of eight members. Sa

mittee shall exercise such authority as may have been deleg

by shall unless in The Admimistrative the Authority. writing the Fertilizer 185T6*--188-110--" not recommendations Code make by Authority two Recovery recommendations thirds Committee 3-2except for Committee, of such the sall thatmembers for amendments serve the the which Administrative as amendment of the constitutes the have excutive Code been of CAta
4

ARTICLE IV-LABOR PROVISIONS

SECTION 1. Collective Bargaiing.-Pursuant to Section 7 (a) of

the National Industrial Recovery Act, the following provisions are

hereby embodied in and prescribed as part of this Code:

a. That employees shall have the right to organize and bargain

collectively through representatives of their own choosing, and shall

be free from the interference, restraint, or coercion of employers of

labor, or their agents, in the designation of such representatives or in

self-organization or in other concerted activities for the purpose of

collective bargaining or other mutual aid or protection.

b. That no employee and no one seeking employment shall be

required as a condition of employment to join any company union

r to refrain from joining, organizing, or assisting a labor organization of his own choosing.

c. That employers shall comply with the maximum hours of

labor, minimum rates of pay, and other conditions of employment, approved or prescribed by the President.

SEC. 2. Ma2Imu'm Hoturs of Labor.-a. No employee in the fertilizer industry shall be required or permitted to work more than 40

hours in any one week or eight hours in any one day except as

follows:

1. Foremen, superintendents, managers, salesmen, chemists, and

officials.

2. During the rush of the planting season the hours of labor may

exceed the maximum above prescribed by eight hours a week, and

in the case of skilled key men the hours of labor may exceed the

maximum above prescribed by 20 hours in any week, but in no

event shall employees be permitted to work more than an average of

40 hours a week over any consecutive four-months' period.

3. Office employees shall not be required or permitted to work

more than an average of 40 hours a week in any four-months' period.

4. Employees engaged in any continuous operation when other

competent employees are readily available for such work shall not be

required or permitted to work more than 40 hours in any one week,

and in no case more than 48 hours in any one week.

5. Repair shop crews, engineers, electricians, and watching crews

shall not be required or permitted to work more than 40 hours in any

one week, with a tolerance of 10 per cent, except in the case of

eme rgeniicy.

b. Overtime shall be paid at the rate of one and one third times

the normal rate for all work in the excess of eight hours a day, except

in the case of office employees.

c. Every employee iii the fertilizer industry shall be entitled to

one day of rest a week.

SI:3. Mi imu Rtcs of Pay.-a. No employee in the fertilizer

mimdlostry shall be paid less than the following: 35 cents an hour in the

Northermii nra, 25 cents an hou r inl the Southern area, 35 cents an

hour ill tle Midwestern area, 40 cents an hour in the Pacific Coast

area, aid 20 centts an hour in Puerto Rico.

1). The Northern area comprises Maine, New H11pshire, Vermont,

Ma ahset ts. (Comnecticut. Rhode Islaid. New York, Pennsylvania,

New Jeisey, Maryland (except tle Eastero Shore), New Castle

Comity of Dela ware, District of Columbi a, and West Virginia.
5

c. The Southern area comprises Kent aild Sussex Counties of

Delaware, the Eastern Shore of Mar land, Vi rgini, North (arolina. South Carolina, Georgia, Florida. Alabama. Mississippi. Arkansas, Louisiana, Okiahoma, Texas, and Tennessee.

d. The Midwesternii area comprises Ohio. Illinois, liidiana. Kentucky, Missouri, Kansas, Nebraska, South Dakota, North Dakota, Colorado, New Mexico, Arizona. Wyoming, Montana. Michigan,

Wiisconsin, Minnesota, and Iowa.

e. The Pacific Coast area comprises Washingtoin. Oregon, California, Idaho, Nevada. and Utah.

SEC. 4. Chid Labor Proh/ibite.-No employee under the age of

16 years shall be employed in the fertilizer industry.

SEC. 5. Recla8siflcation of FItumctionis Prohibited.-There shall be

no evasion of this Code by reclassification of the function of employees. An employee shall not be included in any of the exceptions

set forth above unless the identical functions were identically classified on June 15, 1933.

ARTICLE V-PRODUCTION AND NEW CAPACITY

Should it at any time appear that the policy of Title I of the

National Industrial Recovery Act will not be effectuated in the industry because of overprodtiction, the Fertilizer Recovery Committee

may submit to the Administrator recommendations for amendments

to this Code or for such other action as may be appropriate.

ARTICLE VI-PRICE PROvISIONS

SECTION 1. Sales BeIowt Cost Prohibited.-The sale or offer for

sale by any producer of mixed fertilizer, superphosphate, and/or

other fertilizer material at a price below his cost except to meet

existing competition is hereby prohibited. The term " cost " as used

herein means the cost determined in accordance with uniform methods of accounting which shall be prescribed hereunder by the Fertilizer Recovery Committee with the approval of the National Recovery Administration. Such co4 shall properly define the differences

in factory, manufacturing, and mixing costs, and costs of distributing the product to producers. dealers, agents, and consumers, and

such differences in cost shall be reflected in the sales price to each of

these classifications.

SEC. 2. Open Price Schedules.-a. Within five days after this Code

becomes effective each producer shall file with the Secretary of The

National Fertilizer- Association:

1. A statement showing in what zones said producer intends to

sell mixed fertilizer, superphosphate, and/or other fertilizer material;

2. A schedule by zones of the prices than in effect or to be charged

for all grades or kinds of mixed fertilizer, superphosphate. and/or

other fertilizer material sold or offered for sale to dealers, agents,

or consumers by such producer, together with the terms and conditions applicable; thereto; and,

3. Shall mail or deliver true copies of such schedule to his competitors in the zones where such producer does business.
6

b. If the original schedule so filed by any producer represents any

change in his then existing prices, terms, or conditions, it shall

not become effective until the expiration of 48 hours after it is filed.

After the original schedule is filed, no mixed fertilizer, superphosphate. and/or other fertilizer material shall be sold or offered for

sale by such producer at a price or on terms or conditions other

than as specified in said schedule or in a new schedule that has

become effective purstiant to the provisions of this Section.

c. No new schedule advancing or rediuhing any price or changing

the ternis or conditions shall be deemed to have become effective

hereunder until a (late and hour ten days after it has been filed

with the Secretary of The National Fertilizer Association and unless

siuliiltaneoiisly with such filing true copies thereof have been mailed

or delivered by such pro(dlcer to other producers in the zones where

the proIduicer who files the schedule is doing business, except that

any such schedule filed to meet a new or changed schedule filed by

a competitor may become effective o1 the same date and hour that

the competitor's schedule becomes effective if a copy thereof is

filed with the Secretary of The National Fertilizer Association and

copies have been mailed or delivered to other producers in the same

zones at least 48 hours before such effective date and hour. Any

original, new, or changed schedule when filed shall be open to

inspection by any pro(lucer.

d. Upon receipt from any producer of any original or new schedule representing a change in prices, terms, or conditions, the Secretary of The National Fertilizer Association shall immediately mail

to such produicer and to other producers in the zones to which such

schedule relates a notice of the (late and hour of filing of such

schedule and when it becomes effective.

e. There shall be attached to each schedule filed hereunder a statement specifying the changes made therein from the last preceding

schedule. The original schedule of each producer filed hereunder

shall be numbered " one " and all subsequent schedules or changes

in schedules shall be numbered serially in accordance with a uniform

plan of numbering prescribed by The National Fertilizer Association.

ARTICLE VII-MARKETING PROvISIONS

SECTION 1. Reduction in Number of Grades of Mixed Fertilizer.-

In order to eliminate waste and reduce the cost of manufacture,

bearing in mind the economic interest of the farmer, a list of grades

suitable to meet the agricultural needs of each State or of each zone,

as the case may be, may be established by the producers in such zone

or State, acting through a zone committee, ill cooperation with

agronoimists and other Federal and State agricultural officials, subJect to the approval of the National Recovery Administration.

After such grades have been established for such State or zone, the

sale or offer for sale therein of mixed fertilizer not conforming to

the grades so established shall be considered aln unfair trade practice, provided that the sale of special formulas o' Specia1 ingredients

ill standard formulas imay be made to satisfy bonia fide orders from

('listomlers if ade(qIuate additional charge e is made for mixing costs as

(letermi ned for the particular plant under the uniform accounting
7

method- prescribd in Article VI plus the extra cost of 

materials u ,1: ad provided that this shall not prevent a

p

d(Ucer from selling or oierini f o r sak: two extra, gfradeS fo

al lI un rkelis i Vario is-size )arkag& not to exceed 100 p

ith +r .-NE 1 ra v' 2I lig '-Ill ii shall I e npl e1l oIn a con

)

basis for h I ie f iI xe1 fertil ier, ierpspat. a1i 

fertilizer dri a I. Su1h 1e11 a lbe 1).la only thr reorular,

Iwgitiniiiat 't Xlld -iliiii wtirhin iider the colitrol of the producr. Th - ion -hall not a pIy to tIie State of FI() rida.

SI0. 8. Ii. i tai T/ rrjil ( (in>; n/ 9/' 16 $ no(ia! io. Any

Orle eluet a -al. e W i()Ia , ct (,c tm -J- l l: i Iwtween- p

ducer- mid irFeii rl InI OrPoiat il farlflers orrgali zat11is: etigi

the vari'e]is Ut1wivj> (i ( o I to rItch ormliizatimis i alii princiipally

t1 ' (i I ll i I i.a t1 " wlilC- I l Ika- s ,r (tic] I l i vi'i ii> < 

iiiienits rrantilg special I-ates. c)lllls510I15, (1a' coW, ces>1 . .

t

dlivieii of }; 1 hi 1, v b- c t eIrtlLI til. I'ted iLto. aLl j)Irf4Filwil,

provide that zeuvh >ales are not h',low the producer's price 

p

Vieli Article VI. Section 1 of this C-mle, anid that it 

b

oblirat ry up'n . h -ilurati e ( ranhizatiols to maintain the producer' schedule of pieces to their dealers and consumers in th

Covered.

b. -No provisions of this Cod e shall be interpreted as pre

farmers' cooperative corporations from paying patro1agre di

as authorized by law.

SEC. 4.-SaKhs to Dealr awl Con smiir Tlr-oughl Broke

hibited.-The sale by the producer of mixed fertilizer and or b

superpho;phate to the dealer or consumer through brokers is h

prohibited.

SEC. 5. Uniform 'otract.--Subject to the approval of t

N

tional Recovery Adninistration, the Fertilizer Recovery Co

is authorize to prepFare aid pre>ribe, acc rding tI app

ZoneS established by it, uniform forms of contracts -for uie it

sale by producers of mixed fertilizer, superphosphate. Tnd 

fertilizer material. After .ueh forms have been so prescri

any zone as to any type of transactions the sale by any prodi

such zone of mixed fertilizer, superphosphate. and or oth

tilizer material under any form of contract for such tyv)e o

t

action other than the form So prescribed i5 hereby prolibitv(d

SEC. G. nstgiOn f Inporits.-The Fertilizer Rec()ver

mittee i- authorized to investigate or cause to be investigated 

t

report to the National Recovery Administrati n in behalf of t

tilizer industry the facts as to tile importatio In into the Unite

and Puerto Rico of mixed fertilizer. superpho-phate, and 

fertilizer domestic Code. Methods render ance tee SEc. and with 7. ineffective subject of production Jfethods material procedure Delivery.-The to or of its in and established seriously Quoting substantial approval, on such producers to Prices, by terms are endanger quantities the authorized in Jfuthods or Fertilizer each zone. under theor such of maintenance to increasing Recovery actingr prepare Ist, conditio

butin C

r

t

u
8

lules, not inconsistent with any provision in this Code, governing

the methods of quoting prices, methods of distribution, and methods

of delivery. including trucking allowances, to be used in the sale of

mixed fertilizer. superphosphate. andl or other fertilizer material in

such zone or subdivision thereof. Such rules, when so prepared and

approved by the Fertilizer Recovery Committee, shall be submitted

to the National Recovery Administration, and when approved by it

shall be binding upon all producers selling said products in such zone

or subdivision thereof.

Sic. 8. E mxciptions from iiarketing, Procisions.-a. In view of

the peculiar marketing conditions existing in zone Ila, it is exempted from Section 2 of Article VII, Marketing Provisions, of

this Code.

b. The States of Idaho, Utah, 'Montana, Colorado, Wyoming, and

Nebraska are exempt from all regulatory rules pertaining to sales.

ARTICLE VIII-UNFAIR PRACTICES PROHIBITED

The following shall be deemed to be unfair competition within

the meaning of the National Industrial Recovery Act and are hereby

prohibited:

SECTION 1. The defamation of a competitor by falsely imputing

to such competitor dishonorable conduct, inability to perform contracts, questionable credit standing, or by other false representations,

or the false disparagement of the grade or quality of his goods, with

the tendency and capacity to mislead or deceive purchasers or

prospective purchasers.

SEC. 2. The payment or allowance, except as required by law, of

rebates, refunds, or unearned commissions or discounts, or of claims

known to be false or unjustified, whether in the form of money or

otherwise, or extending to certain purchasers special services or

privileges not extended to all purchasers under like terms and

conditions.

SEc. 3. The payment to any person who is not a dealer or agent,

as defined herein, in connection with the sale of any mixed fertilizer,

superp)hosphate, and/or other fertilizer material of any compensation or allowance to which a dealer or agent is entitled.

SEC. 4. Withholding from or inserting in any invoice a statement

which makes the invoice false regarding the whole or any part of

the transaction represented on the face thereof.

S:c. 5. Providing transportation without adequate charge for it,

or reimbursing, the dealer, agent. purchaser, or consignee for the

costs of transportation if reimbursement is not provided for in the

pro(cer's price list.

SEC G. The operation or use by a producer of any warehouse owned

or controlled by such producer. or of any warehouse or warehouse

space leased by him for the storage of mixed fertilizer, superphospIhate, and or other fertilizer material, in such way or under such

circumstances as to result in the granting of rebates. or special

allowances from the contract price of any mixed fertilizer, super-

)losp)hlate, and 'or other fertilizer inaterial sold or offered for sale

by su(chi producer. or the making by any producer in connection with

the sale of mixed fertilizer, superphosphate, and/or other fertilizer
9

material of an allowance for warehousing not incliided in h

p

schedliI le.

SEC. 7. Selling or con1sigin1 1in chiQimicals landl materials with 

colicessions or ;at redlIce(d prices, g(iven to indliuce thie puireCla

mixedl fertilizer, superp)hospliate, aiid/or other fertilizer ma

SEC. S. Failtire to enforce in good faith the terms of c

previously made for the sale of mixed fertilizer, si 1pe Iph

a d/i r other fertilizer material, as for example:

a. Selling on terms that rIlequire the payment of sight d

preseitation of bill of lading (S.D.B.L.) mid then waiving t

ligoation to pay cash before dIOCI)UIents 01' gXoods an, delivere

t

dleferr-g the )aymiiwnt of the cash to some future (ate.

1). Selling and deliverinloHg goods oil time, consignm1enit

oo

bill of lading terms on S.D.B.L. price, or waiving ezarne in

SEc. . Furnishiiig special containers preparing special f

for individual buyers or consignees, or using special imgred

i

standard formulas, without adepluate charge for tile co st 

containers, formulas, or special inogredients, as an indictmen

tt

making of a contract and/or sale.

SEC. 10. MakinP2'5ji special allowance to buyers OlsIgnees u

the guise of advertising expense, or giving any other f

gratuity.

SEC. 11. Adopting selling methods that promote secret reba

concessions, such as:

a. Employing a buyer or consignee or his agent or anyo

ployed by or connected with a buyer or consignee with the p

design, and effect of influencing the business of such custome

b. Carrying on books by seller or consignee as delinqulent b

due by solvent customer with no intention of requirinlg u

payment. SEC. 12. Enabling the purchaser or consignee to obtain mix

tilizer, superphosphate, and/or other fertilizer material app

on cash terms, but in fact on credit extended to him by or t

the producer, as, for example:

a. A transaction covered by a sight draft and bill of hidingo

i

which the puirchaser or Consigrnee is made to appear as h

documents upon presentation by payment with his own fiids., when

in fact the cash involved was obtained in whole or in part up

n

gotiable instrument (usually discounted at a bank) bearig(Y t

dorsement of the producer; or

b. A transaction by which the producer, although he does n

ally endorse the obligation, renders himself legally or m1o

sponsible for its payment if the puirchaser or consignee shall t

meet his obligation to the bank at maturity.

SEc. 13. Refunding to the buyer or consignee, either dire

agents, fertilizer, active indirectly, cepted of SEC. SEC. the settlement." 15. and/or contract. or 14. superphosphate, consumers. Inducing any The settled part guaranteeing This the ofor practice the breach bynd/or purchase the of prices of is buyer or any other commonly price contract fetilizer against consignee on referred account for decline maternI the under to -4-,le of to as gothbt4 rf md
10

ing a lower price to the purchaser under such contract, or by any

other means.

SEC. 16. The false marking or branding of any product of the industry which has the tendency to mislead or deceive customers or

prospective customers as to the grade, quality, quantity, substance,

character, nature, origin, size, finish, or preparation.

SEC. 17. The making or causing or permitting to be made or published of any false, untrue, or deceptive statement by way of advertiseient or otherwise concerning the grade, quality, quantity, substance, character, nature, origin, size, or preparation of any product

of the industry having the tendency and capacity to mislead or

deceive purchasers or prospective purchasers.

SEc. 1S. Furnishing of mixed fertilizer, superphosphate, and/or

other fertilizer material by a producer to any consumer with the

understanding that payment therefor shall be made by turning over

to such producer a quantity, fixed in advance and without reference

to the market price, of the crop produced by the use of such fertilizer.

ARTICLE IX-REPORTS AND STATISTICS

SEcTION 1. The Fertilizer Recovery Committee is authorized to

prescribe, subject to tle approval of the Administrator, regulations

requiring the submission by producers at such reasonable times as

it may designate, of reports containing information necessary for

the adniiistration and enforcement of this Code, including wages, bours of labor, other conditions of labor, prices, marketing practices, and such other items as may be required. Such reports shall be

sibinitted only to the executive officer of The National Fertilizer

Association. Except as otherwise provided in this Code, all reports

subm)Hitted hereunder shall be treated as confidential and shall be

open to inspection only by the persons employed by the Fertilizer

Recovery Committee to administer this Code and by the authorized

officials of the National Recovery Administration.

ARTIcLE X-GENERAL PROVIsIONS

SECTIoN 1. No provision in this Code shall be interpreted or applied in such a manner as to:

a. Promote monopolies or monopolistic practices;

b. Permit or encoi rage unfair competition;

e. Elinimiate or oppress small enterprises; or

d. Discriminte against small enterprises.

Sm:'. 2. This Code and all the pro)visioins thereof are expressly

m1I1i'e >iibject to the right of the President, ill accordance with the

proVision of Subsection (b) of Section 10 of the National Inlustvrial Recvery Act, from time to time to cancel or modify any

order, approval, license, r1 le, or regulation issued under Title I

of said Act, and specifically, but without limitationi, to the right of

tie President to ( )Cu cel w. Im odify Ihis lp)provail of this Code or any

coniilitiois impio1sed by him upon his approval thereof.

Sr. 3. Nothing in this Code shall be deemed to constitute the

participants therein partners for any purpose.
11

SEC. 4. Within each State, members of the influstry shall comply

with any laws of such State imposing More strinient requirements, regulatingm the age of employees, wages, hours of work, or health,

fire, general working conditions, or standards of comuodity.

ARTICLE XI--FEES AND E NNSFs

Each prod-ucer subject to the jurisdiction n of tills Code and accepting the benefits (f the activities of the Code Authority he, ev uer,

shall pay to the ('ode Authorit y N, his proportiolnte share of the

amounts neceo:5;ary to pay the cost of assembling, analyzing, anl

publication of such reports and data, and of the inatenance of the

said Code Authority and its activities, as the Code Authority, with

the approval of the Administrat r, may presuribe.

ARTICLE NIT-AMENDMNTS

The right is hereby reserved to alter, amincd, or supplement this

Code at any time by a majority vote of the Fertilizer RI&(overy Committee, subject to the approval of the President of the United States.

ARTICLE XIII-EFECTIVE DATE

This Code shall become effective on the tenth day after its approval

by the President of the United States and shall terminate on June 16,

1935, or sooner if the President shall by proclamation or the Congress shall by joint resolution declare that the emerLency recognized

by Section 1 of the National Industrial Recovery At hlas ended.
SCHEDULE A

LIST OF ZONEs ESTABLISIED FOR ADMINISTRATION OF CODE FOR THE FERTILIZER

INDUSTRY

Zone No. 1: Florida west of the Apalachicola

Ma ine River

New Hampshire Louisiana east of the Mississippi

Vermont River

M\Iassaichusetts Zone No. 9:

Rhode Island Arkansas

Connecticut Louisiana west of Mississippi

Zone No. 2: River

New York Texas

Pennii sylvan ia Oklahoma

New Jersey New Mexico

Zone No. 3: Zone No. 10:

Maryland Michigan

Delaware Ohio

District of Columbia Indiana

Virginia north of Janies River in- Kentucky

eluding Accomac and Northamp- Illinois

toll counties Wisconsin

West Virginia (B. & 0. Section) Minnesota

Zone Ao. 4: Dowa

Virginia south of James River in- Missouri

ciLding Riclmnlmd N( rth Dak4 ta

West Virginia (C. & 0. Section) South Dakota

North (an lina Nebraska

Zone No. 5: South Carolin.1 K an s a s

Zone No. 6: Montana

Ge r-ia Wyom ing

Florida starting with the eastern Colorado

boundaries of Columbia, Su- Zone No. 11a:

wance, La fayette, and Taylor California

(1ln1 ils and extendinlg west to Nevada

the Apalichicola River Uta hi

Zone No. 7: Florida east and south of Arizona

Suwanee, Columbia, Lafayette, and Zone No. IIb:

Taylor e 'unties Washington

Zone No. : Ore-li

Tenilies Cee Idaho

Alaiama Zonc No. lie: Hawaii

Mississippi Zone No. 12: Puerto Rico

(12)
SCIIEDULE B

FERTILIZER RECOVERY COMMITTEE

John J. Watson, International Agriiulltural Corpliration, New York City,

Charles J. Brand, The National Fertilizer Assochition, Washington, D.C., Seereta ry

Zon o. 1

E. T1. Jones, Apotliecaries IhIAl C., Watcrury, ('onin.

Zone No. 2

Horace lowker, The America n Arricultural Chamical Co., New York, N.Y.

T. E. Millimanii, Co(terative G. L. F. Mills, Buffalo, N.Y.

E. H. Westlake, Tennessee Corp., New York, N.Y.

Zone no. 3

B. H. Brewster, Jr., The Baugh & Sons Co., Baltimore. Md.

C. F. Hoekley, The Davisi in Chemical Co., Ualtimore, Md.

W. W. Price, Smyrna, Del.

W. E. Valliant, Valliant Fertilizer Co., Baltimore, Md.

Zoac IN. 4

C. F. Burroughs. F. S. Royser Guano Co., NorfIlk, Va.

G. A. Holderness, Chemica1 Cirginia-Caroimna (orp., Richmond, Va.

Oscar F. Smith, Smith-Doughiss Co., N1rf lk, Va.

Thomas H. Wright, Acme Manufacturing- Ct., Wilmington, N.C.

Zone No. 5

J. Ross Hanahan, Planters Fertilizer & Phsphate Co., Charleston, S.C.

A. F. Prin *e, Merclants Fertilizer Co., ( 'lharleston, S.C.

J. D. Prothro, Aiken Fertilizer Co., Aiken, S.C.

Zone No. 6

H. B. Baylor, Intern:ttional Agi+ultural Corp.. Athnta, Ga.

J. E. Sanford. Armour Fertilizer Works, Atlanta, Ga.

A. D. Strilhar, Southern Fertilizer & Chiemical ('(., Savannah, Ga.

Zone No. 7

C. T. Melvin, The Gulf Fertilizer Co., Tampa, Fla.

R. B. Trueman, Trueman Fertilizer Co., Jacksonville, Fla.

Zone No. 8

E. A. Brandis, Standard Chemical Co., Troy. Ala.

J. W. Dean, Knoxville Fertilizer Co., Knoxville, Tenn.

C. D. Jordan, The Southern Cotton Oil Co., New Orleans, La.

Zone No. 9

P. H. Manire, Marshall Cotton Oil Co., Marshall, Texas

C. D. Shallenberger, Shreveport Fertilizer Works, Shreveport, La.

(13)
UNIVERSITY OF FLORIDA

14 3 1262 08582 9124

Zane No. 10

L. W. Rowell, Swift & Co. Chicago, Ill.

Zone No. 11a

Weller Noble, The Pacific Guano & Fertilizer Co., Berkeley, Calif.

Zone No. 11b

George R. Clapp, Swift & Co., North Portland. Oregon

ADMINISTRATIVE COMMITTEE

John J. Watson C. T. Melvin

(arles J. Brand Oscar F. Smith

Ilornce Bowker A. D. Strobhar

B. 11. Brewster, Jr. W. E. Valliant

0